An index number of 85 for a later period, with the base period equal to 100, indicates that the measured level has:
Correct answer: B. Decreased by 15 percent
- A. Increased by 15 percent
- B. Decreased by 15 percent
- C. Decreased by 85 percent
- D. Remained unchanged
Explanation
An index of 85 is 15 points below the base value of 100. Therefore, the measured level has fallen by 15 percent relative to the base period, not by 85 percent.
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